Fed's Williams: Accommodative monetary policy helping economy weather the storm

The Federal Reserve has taken an approach that will adjust naturally if the economy does better than expected, New York Federal Reserve President John Williams told the Wall Streer Journal on Tuesday, per Reuters.

Additional takeaways

"Accommodative monetary policy is helping the economy weather the storm."

"Policy will help the economy return to full employment as soon as possible."

"Fiscal policy plays important role in building bridge between now and when a vaccine becomes available."

"Fiscal policy really the most powerful tool now to providing income to unemployed."

"Emergency lending programs were hugely successful."

"Emergency lending programs provided a backstop during a time of stress and continue to be successful in providing a sense of confidence."

"Although emergency facilities did a great job in supporting financial markets we've seen a significant improvement."

"We could restart lending programs if we see a significant need in the future."

"Right now, we're not seeing any signs of a tightening in financial conditions."

Market reaction

The US Dollar Index showed no immediate reaction to these remarks and was last seen losing 0.18% on a daily basis at 92.33.